× Home

Top Authors Top Articles Why Submit Articles? FAQ

Login Register Forgot password?

Accounting Enron Scandal

By:   |   Jul 08, 2018   |   Views: 6   |   Comments: 0

During the merger, Enron acquired massive debt and, as the result of deregulation, no longer had exclusive rights to its pipelines. The company had to come up with a new business strategies to generate profits and cash flow in order to survive. Kenneth Lay, CEO, hired McKinsey & Co. to help in developing Enron's survival business strategy. A gas pipeline company climbed it's way into the world's largest energy-trader by scamming investors, the accounting Enron scandal was a real systematic manipulation of fiduciary rules to create an illusion of a very successful company. Enron accounting scandal was discovered and proved that they made deliberate attempts to alter its financial statements to make them look more attractive to investors and lenders. Following these manipulations many parties have been affected and will continue to be affected in the future, more specifically, many years. The accounting Enron scandal that lead to the Enron collapse was due in great part in the activities of their C.E.O., Jeffrey Skilling. Not only was he in charge of controlling one of the largest energy companies in the world, he was also in charge of many other side undertakings that may have been in a conflict of interest with his main job as Chief Executive Officer of Enron. The baffling part of this situation was that the other members of the Board of Directors for Enron all voted on this and passed it. There are three specific ways in which the accounting Enron scandal occured by misrepresented figures on its financial statements.

For more information on accounting , please visit :

http://bytelan.com/wordpress/whatdoesreconcileinaccountingterms.php

Was this helpful?
Thank you!
 
 
 
 

More from David Butler

The Best Skin Care Treatment

Shea Butter as a moisturizer and emollient Shea butter is natural fat extracted...

By: David Butlerl Uncategorizedl Jul 08, 2018 lViews: 29 lComments: 0

The Addiction on Anti Aging Products

The addiction of having that eternal youth or delaying the aging process to look...

By: David Butlerl Uncategorizedl Jul 08, 2018 lViews: 31 lComments: 0

Skin Firming And Anti-Aging - Hope Beyond The Hype

With all of the skin firming and anti-aging solutions on the market, you would t...

By: David Butlerl Uncategorizedl Jul 08, 2018 lViews: 35 lComments: 0
Add new Comment

* Required fields